Meet the market shapers

Jan 10th 2015

Helping to get a new platform off the ground is a challenge, explains Riley Newman, head of economics at Airbnb.

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Early on it became clear that some hosts were doing better than others. Crunching through data, it found the quality of photos of a host’s abode was a key factor in their hit-rate. So Airbnb tested providing a free photography service to those offering accommodation, reasoning that better demand might offset the cost. The results were positive and Airbnb now offers free professional photos to most hosts.

http://www.economist.com/news/finance-and-economics/21638152-new-breed-high-tech-economist-helping-firms-crack-new-markets-meet 

Hidden in the long tail

Consumers reap the benefits of e-commerce in surprising ways

Jan 10th 2015

Users seemed to find browsing almost costless, since they were willing to conduct an additional search to achieve an average saving of just 25 cents. Moreover, many searchers were not trying to get a better price for one product but to explore different products. A user who typed in “opera DVDs” examined offers of Puccini, Verdi, Wagner and Bizet before returning and purchasing the Puccini. This, the authors reckon, suggests price savings are but a small part of the value users derive from search; some of the value comes from what they learn while searching. Mr Tadelis speculates many users actually enjoy online searching, much as many people enjoy window-shopping at bricks-and-mortar outlets. 

http://www.economist.com/news/finance-and-economics/21638142-consumers-reap-benefits-e-commerce-surprising-ways-hidden-long

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CHART: Here's how many Australians are actually clicking through online ads

A surprising 1.6 million Australians aged 14 and over say they’ve clicked through online advertising in the past month, according to the latest internet usage data from Roy Morgan Research.
The figure, 8.1% of total users, is nearly double the 2011 figure, offering some hope for both publishers and advertisers, especially in the face of a growing trend in ad blocking, which some argue is part of a war between Apple and Google.

 http://www.businessinsider.com.au/chart-heres-how-many-australians-are-actually-clicking-through-online-ads-2015-9

CrunchBase Unicorn Leaderboards - Emerging Unicorns

http://techcrunch.com/unicorn-leaderboard/emerging/#.cojcdo:BJSC